Fort Smith Regional Sentiment Declines in Third Quarter

by Paul Gatling ([email protected]) 62 views 

The Index of Consumer Sentiment (ICS) for the Fort Smith region was lower for the third quarter ending Sept. 30, according to the preliminary report released Oct. 8 by the Center for Business Research and Economic Development at the University of Arkansas at Fort Smith.

The Fort Smith MSA consumer sentiment index was 59.2, down 8.2 percent from the second quarter result of 64.5.

The results were consistent with national results reported by the University of Michigan for the same period. The Michigan study reported a 77.5 in September, 7.8 percent lower than the June reading.

Dr. Kermit Kuehn of Fort Smith, center director, said the results were driven by less positive news on the national economy and the political squabbles in Washington in recent weeks.

Arvest Bank president Craig Rivaldo added the report was somewhat disappointing.

“Positive momentum is hard to attain in the first place,” Rivaldo said. “But it’s even more difficult when national issues create widespread uncertainty in our local economy.” 

The report also showed lower results for two sub-indices. The Index for Current Conditions (ICC), a measure of consumer attitudes about their current economic situations, declined 6.6 percent to 66.9. The Index for Consumer Expectations (ICE), which measures consumer feelings about future economic conditions, was down 9.6 percent from last quarter, recording a 54.2. 

Index scores below 100 reflect less optimism about the economy than scores above 100.